Jun, 2017     

Indian hotel aggregators industry sees 15% growth from OND-16 quarter

The Indian Hotel tech market has grown by 10-15% over the last quarter. However, the smaller players like Treebo and Fab have shown a higher growth than Oyo. We believe this has happened due to a couple of reasons. Firstly, Oyo has a much wider base than the smaller players. Secondly, the smaller base gives Treebo & Fab much better control over their property thus ensuring better customer experience.

We believe Oyo is performing lower in Hotelier Satisfaction than the industry primarily due to lower impact on the overall business growth. Oyo operates on a different model with the number of room nights offered being nearly 70 times that of its nearest competitor. The partial inventory model limits their control on the quality of service and hence we see limited growth in bookings.

We feel Oyo needs to fine tune the business model to ensure better quality of service to its customers and create a much higher business impact for its partner hotels.